The Effect of Business Model Innovation and Entrepreneurship Orientation on MSMESs Performance Through Business Agility Moderated Financial Literature
https://doi.org/10.35877/454RI.qems973
Keywords:
Innovation, Business Model, Agility, Financial Literature
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Abstract
This study aims to examine the effect ofbusiness model innovation and entrepreneurial orientation towards MSMES performance through business agility moderated by financial literacy.The approach used in this research is quantitative. In this study, researchers used incidental sampling which obtained 100 respondents. The analysis used in this study is a structural approach to the Equation Model (SEM) assisted by the smart PLS. application (Ghozali & Latan, 2015). Based on the research findings, it can be concluded that entrepreneurial orientation, business model innovation, and business agility affect the performance of MSMESs, business model innovation and entrepreneurial orientation are known to affect business agility. Meanwhile, financial literacy has not been able to moderate the relationship between business agility and MSMES performance. Business agility is able to mediate the relationship between business model innovation and Entrepreneurial Orientation on the performance of MSMESs.
References
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Pollanen, R., Abdel-Maksoud, A., Elbanna, S., & Mahama, H. (2016). Relationships between strategic performance measures, strategic decision-making, and organizational performance: empirical evidence from Canadian public organizations. Https://Doi.Org/10.1080/14719037.2016.1203013, 19(5), 725–746. https://doi.org/10.1080/14719037.2016.1203013
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Pratono, A. H. (2021). The strategic innovation under information technological turbulence: the role of organisational resilience in competitive advantage. Competitiveness Review: An International Business Journal, ahead-of-print(ahead-of-print). https://doi.org/10.1108/CR-03-2021-0046
Qosasi, A., Maulina, E., Purnomo, M., Muftiadi, A., Permana, E., & Febrian, F. (2019). The impact of Information and Communication Technology capability on the competitive advantage of small businesses. International Journal of Technology.
Renko, M., Shrader, R. C., & Simon, M. (2012). Perception of entrepreneurial opportunity: a general framework. Management Decision, 50(7).
Rosa, I., & Listiadi, A. (2020). Pengaruh Literasi Keuangan, Pendidikan Keuangan di Keluarga, Teman Sebaya, dan Kontrol Diri terhadap Manajemen Keuangan Pribadi. Jurnal Manajemen, 12(2), 244–252.
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Schmitt-Rodermund, E. (2004). Pathways to successful entrepreneurship: Parenting, personality, early entrepreneurial competence, and interests. Journal of Vocational Behavior, 65(3), 498–518. https://doi.org/10.1016/J.JVB.2003.10.007
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Sugiyarti, G. (2018). Product competitive advantage antecedent for successful marketing performance. Scholars Journal of Economics, Business and ….
sugiyono. (2017). Metode penelitian kuantitatif . In 2017 .
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Wijetunge, W., & Pushpakumari, M. (2014). Entrepreneurial orientation and business performance of small and medium scale enterprises of Western Province in Sri Lanka. Kelaniya Journal of Management. https://doi.org/10.4038/kjm.v2i2.655
Afriyie, S., Du, J., & Ibn Musah, A.-A. (2019). Innovation and marketing performance of SME in an emerging economy: the moderating effect of transformational leadership. Journal of Global Entrepreneurship Research. https://doi.org/10.1186/s40497-019-0165-3
Allahar, H. (2019). Innovation management and Value Chain Design: Case of a Small Professional Services Firm. International Journal of Innovation, 7(2), 192–209. https://doi.org/10.5585/IJI.V7I2.380
Ameen Ishaq, M. P., & Prakash, N. (2020). Agility in Telecommunication Product Development, Challenges and the Way Forward. In Proceedings of the 4th International Conference on Trends in Electronics and Informatics. ICOEI.
Clauss, T. (2017). Measuring business model innovation: conceptualization, scale development, and proof of performance. R&D Management, 47(3), 385–403. https://doi.org/10.1111/RADM.12186
Del Baldo, M. (2014). Corporate Social Responsibility, Entrepreneurial Values and Transcendental Virtues in Italian SMEs. International Journal of Business and Social Science, 5(6).
Denning, S. (2019). EXPLAINING AGILE.
Doz, Y. (2020). Fostering strategic agility: How individual executives and human resource practices contribute. Human Resource Management Review, 30(1), 100693. https://doi.org/10.1016/J.HRMR.2019.100693
Dühring, L., & Zerfass, A. (2021). The Triple Role of Communications in Agile Organizations. Https://Doi.Org/10.1080/1553118X.2021.1887875, 15(2), 93–112. https://doi.org/10.1080/1553118X.2021.1887875
Falck, O., Heblich, S., & Luedemann, E. (2012). Identity and entrepreneurship: Do school peers shape entrepreneurial intentions? Small Business Economics. https://doi.org/10.1007/s11187-010-9292-5
Felipe, C. M., Roldán, J. L., & Leal-Rodríguez, A. L. (2016). An explanatory and predictive model for organizational agility. Journal of Business Research.
Garg, N., & Singh, S. (2018). Financial literacy among youth. International Journal of Social Economics, 45(1), 173–186. https://doi.org/10.1108/IJSE-11-2016-0303/FULL/PDF
Ghozali, I., & Latan, hengky. (2015). Partial Least Squares: Concepts, Techniques and Applications using SmartPLS 3. In Diponegoro University Press.
Hakkak, M., & Ghodsi, ---Masoud. (2015). Development of a Sustainable Competitive Advantage Model Based on Balanced Scorecard. International Journal of Asian Social Science, 5(5), 298–308. https://doi.org/10.18488/JOURNAL.1/2015.5.5/1.5.298.308
Herijanto, N. K. K., & Rahadi, R. A. (2020). A Conceptual Study on The Implications of Financial Literacy Rate on The Company Profitability of MSMESs. International Journal of Accounting, Finance and Business (IJAFB), 5(27), 133–142.
Holbeche, L. (2015). The Agile Organization: How to build an innovative, sustainable and resilient business. Kogan Page Publishers.
Hussain, J., Salia, S., & Karim, A. (2018). Is knowledge that powerful? Financial literacy and access to finance: An analysis of enterprises in the UK. Journal of Small Business and Enterprise Development, 25(6), 985–1003. https://doi.org/10.1108/JSBED-01-2018-0021/FULL/PDF
Janssen, M., & van der Voort, H. (2020). Agile and adaptive governance in crisis response: Lessons from the COVID-19 pandemic. International Journal of Information Management, 55, 102180. https://doi.org/10.1016/J.IJINFOMGT.2020.102180
Kementerian Komunikasi dan Informatika. (2017).
Kotler, P., & Keller, K. L. (2016). Manajemen Pemasaran (12th ed.). PT. Indeks.
Li, H., Wu, Y., Cao, D., & Wang, Y. (2021). Organizational mindfulness towards digital transformation as a prerequisite of information processing capability to achieve market agility. Journal of Business Research. https://doi.org/10.1016/j.jbusres.2019.10.036
Malca, O., Bolaños, J. P., Acedo, F. J., Rubio Donet, J. L., & Peña-Vinces, J. (2020). Relational flexibility norms and relationship-building capabilities as a mediating mechanism in export performance: insights from exporting SMEs in an emerging economy, Peru. International Journal of Emerging Markets. https://doi.org/10.1108/IJOEM-09-2019-0735/FULL/XML
Mohilu, L. (2021). The Effect of Behavior (Style) Leadership and Model of Communication towards the Performance of Village Officials with Quality of Service as a Variable of Mediation (Studies in Barangka District, West Muna Regency). International Journal of Management and Education in Human Development, 1(01), 46–51.
Muliyanti, R., & Kaukab, M. E. (2020). Analisis Kinerja UMKM pada Market Place Wonosobo Mall. Journal of Economic, Management, Accounting and Technology, 3(2), 154–160. https://doi.org/10.32500/jematech.v3i2.1334
OECD/Eurostat. (2005). Oslo Manual: Guidelines for Collecting and Interpreting Innovation Data, 3rd Edition, The Measurement of Scientific and Technological Activities. In Communities: Vol. Third edit.
Parente, R., El Tarabishy, A., Botti, A., Vesci, M., & Feola, R. (2020). Humane entrepreneurship: Some steps in the development of a measurement scale. Https://Doi.Org/10.1080/00472778.2020.1717292, 59(3), 509–533. https://doi.org/10.1080/00472778.2020.1717292
Pohan, M. Y. A. (2022). The Influence of Product Quality on Positive Word-of-mouth Communication , Case Study at Kedai Wak Edoy Malang. 3(2).
Pollanen, R., Abdel-Maksoud, A., Elbanna, S., & Mahama, H. (2016). Relationships between strategic performance measures, strategic decision-making, and organizational performance: empirical evidence from Canadian public organizations. Https://Doi.Org/10.1080/14719037.2016.1203013, 19(5), 725–746. https://doi.org/10.1080/14719037.2016.1203013
Pratono, A. H. (2018). Network structure and open innovation: The role of trust in product development. International Journal of Business Innovation and Research. https://doi.org/10.1504/IJBIR.2018.088467
Pratono, A. H. (2021). The strategic innovation under information technological turbulence: the role of organisational resilience in competitive advantage. Competitiveness Review: An International Business Journal, ahead-of-print(ahead-of-print). https://doi.org/10.1108/CR-03-2021-0046
Qosasi, A., Maulina, E., Purnomo, M., Muftiadi, A., Permana, E., & Febrian, F. (2019). The impact of Information and Communication Technology capability on the competitive advantage of small businesses. International Journal of Technology.
Renko, M., Shrader, R. C., & Simon, M. (2012). Perception of entrepreneurial opportunity: a general framework. Management Decision, 50(7).
Rosa, I., & Listiadi, A. (2020). Pengaruh Literasi Keuangan, Pendidikan Keuangan di Keluarga, Teman Sebaya, dan Kontrol Diri terhadap Manajemen Keuangan Pribadi. Jurnal Manajemen, 12(2), 244–252.
SARI, A. I. (2019). LINKING MARKET SENSING CAPABILITY AND MARKETING PERFORMANCE: THE ROLES OF SPEED TO MARKET STRATEGY AND PIOUS PRODUCT INNOVATIVENESS.
Schmitt-Rodermund, E. (2004). Pathways to successful entrepreneurship: Parenting, personality, early entrepreneurial competence, and interests. Journal of Vocational Behavior, 65(3), 498–518. https://doi.org/10.1016/J.JVB.2003.10.007
Sivam, A., Dieguez, T., Ferreira, L. P., & Silva, F. J. G. (2019). Key settings for successful Open Innovation Arena. Journal of Computational Design and Engineering. https://doi.org/10.1016/j.jcde.2019.03.005
Sugiyarti, G. (2018). Product competitive advantage antecedent for successful marketing performance. Scholars Journal of Economics, Business and ….
sugiyono. (2017). Metode penelitian kuantitatif . In 2017 .
Tjahjadi, B., Soewarno, N., Nadyaningrum, V., & Aminy, A. (2020). Human capital readiness and global market orientation in Indonesian Micro-, Small- and-Medium-sized Enterprises business performance. International Journal of Productivity and Performance Management. https://doi.org/10.1108/IJPPM-04-2020-0181
Visnjic, I., Jovanovic, M., Neely, A., & Engwall, M. (2017). What brings the value to outcome-based contract providers? Value drivers in outcome business models. International Journal of Production Economics, 192, 169–181. https://doi.org/10.1016/J.IJPE.2016.12.008
Wati, N. M. I. (2020). PENGARUH LITERASI KEUANGAN DAN GAYA HIDUP TERHADAP PERILAKU KONSUMTIF PEGAWAI (STUDI KASUS PT PELABUHAN INDONESIA I (PERSERO) MEDAN). 4(1), 1–9.
Waty, E., So, I. G., Indrajit, R. E., & Abdinagoro, S. B. (2021). The effect of business ecosystem and government regulation toward business agility: the role mediating of business model innovation in SMEs. Proceeding of the International Conference on Family Business and Entrepreneurship. https://doi.org/10.33021/icfbe.v2i1.3580
Wijetunge, W., & Pushpakumari, M. (2014). Entrepreneurial orientation and business performance of small and medium scale enterprises of Western Province in Sri Lanka. Kelaniya Journal of Management. https://doi.org/10.4038/kjm.v2i2.655
Published
2022-07-13
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How to Cite
Dinda Riri Saraswati, Pristiyono, P., & Harahap, A. (2022). The Effect of Business Model Innovation and Entrepreneurship Orientation on MSMESs Performance Through Business Agility Moderated Financial Literature. Quantitative Economics and Management Studies, 3(4), 498-507. https://doi.org/10.35877/454RI.qems973
